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Nelson County board asks staff to rework Piney River water and sewer increases, favors smaller annual hikes
Summary
After staff presented a multi-year schedule that would more than double bills for some customers by 2028, the Nelson County Board of Supervisors directed staff to return with a revised ordinance and agreed in principle to smaller, predictable annual increases (the board discussed a 7% compounded approach effective July 1, 2026).
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The Nelson County Board of Supervisors on Nov. 13 directed county staff to return in December with a revised ordinance to raise Piney River water and sewer rates in a more gradual, predictable way after hearing concern that the advertised schedule was unaffordable for many customers.
Finance Director Grace E. Mawyer told the Board that a five-year analysis produced an average operational breakeven rate of $74.52 per month and an operational-plus-capital breakeven rate of $107.62 for the Piney River system. Staff’s advertised ordinance (O2025-09) showed staged increases that would raise a combined water, sewer and grinder-pump bill from $68.50 today to $85.65 on Jan. 1, 2026 and to $154.26 by July 1, 2028.
"The proposed schedule is unaffordable for the vast majority of the community," West District Supervisor J. David Parr said during the afternoon discussion, urging predictable, smaller annual increases rather than the large multi-year jumps advertised. Parr and other supervisors supported implementing a routine percentage increase to avoid infrequent, large spikes.
"Predictable, low, and public is better for the community," said Dr. Jessica L. Ligon, who added that regular modest increases would avoid a future situation where residents face a very large one-time increase. Chair Ernie Q. Reed said initiating an increase now and then evaluating mid-course made sense given uncertainty about future costs and service-delivery arrangements.
Supervisors discussed moving effective dates to align with the County’s fiscal year and a Staff suggestion that adopted rates not exceed advertised amounts. Several board members voiced support for a 5%–7% annual approach; Supervisor Parr said he favored a 7% flat compounded annual increase beginning July 1, 2026 to give customers time to prepare. The Board instructed staff to update O2025-09—with revised rates, an effective date of July 1, 2026 for the first change, and adjustments to other proposed fees—and return the ordinance for adoption at the Dec. 9 meeting. County staff confirmed they would incorporate connection- and meter-sizing fees as discussed.
The changes come after the County covered Piney River operational deficits in several years with general-fund transfers and after staff noted that the system had not had a rate increase since 2013. Staff emphasized that a flat breakeven analysis divided by the 206 customers in the system simplified underlying distinctions between water and sewer costs and that more detailed unit-level analysis would take additional time to prepare.
The Board did not adopt O2025-09 at the Nov. 13 meeting; rather, it gave staff clear direction to present a revised ordinance in December and to set increases as stated above. The County will hold no new public hearing if the final rates are equal to or lower than those advertised at the October public hearing, staff said.
